According to the Bank of America (BofA) model, market participants remain bearish on the dollar, particularly against the euro and the British pound. Despite the rise in the US currency, stop-loss triggers for the pound are approaching, while those for the euro are receding due to a reduction in the position size.
BofA suggests that these trends may gradually reverse. Long positions on the Japanese yen and Canadian dollar are also expected to decline.
In the commodities sector, market participants remain bullish on gold and bearish on oil, though these trends are gradually weakening. Both positions are projected to drop in the near future.
The stock market, particularly the S&P 500 and Nasdaq 100 indices, is growing, prompting short- and medium-term investors to purchase securities. According to BofA, the remaining short positions may decrease further.